TreeHouse income rises 4% in year
OAK BROOK, ILL. — Net income at TreeHouse Foods, Inc. in the fiscal year ended Dec. 31, 2011, totaled $94,407,000, equal to $2.64 per share on the common stock, up 4% from $90,919,000, or $2.59 per share, during fiscal 2010. Sales for the year were $2,049,985,000, up 13% from $1,817,024,000 during the previous year.
“We believe that changing customer dynamics, continued consumer weakness as well as unseasonably warm weather hurt our top line in the quarter,” said Sam K. Reed, chairman, president and chief executive officer. “Having completed a detailed review of our category margins and channels of distribution, we believe that the shift toward alternate channels like club, limited assortment and dollar stores had a secondary effect on our margins in the quarter. The 290 basis point decline in gross margins was due to higher costs in our pickle business and operating inefficiencies at some of our plants due to unexpected volume and mix changes.”
For the fourth quarter ended Dec. 31, the company had income of $29,864,000, or 83c per share, up 6% from $28,081,000, or 79c per share, during the same quarter of the previous year. Sales for the quarter were $535,802,000, up 5% from $509,463,000.